USDA Rural Development Loans

USDA Rural Development program loans are low-interest, no down payment mortgages that can help finance homes in eligible rural areas. This program helps make it possible for families who may not qualify for a traditional mortgage to own their homes.


The US Department of Agriculture created a program in 1991 to help increase homeownership among rural Americans. This government-backed loan is available for low and moderate income homebuyers who may not otherwise qualify for a traditional mortgage due to higher costs in larger cities.

Here are some of the major benefits to a USDA Rural Development loan:

  • 100% financing – no need for a down payment!
  • Can be used to purchase or refinance a primary residence
  • No Private Mortgage Insurance (PMI) required – instead, there is a low up-front Guarantee fee and a monthly Guarantee fee
  • Vault Mortgage can roll the up-front Rural Development Guarantee fee into the loan* – this fee is designed to reduce costs for taxpayers since this loan program doesn’t require a down payment or PMI
  • Depending on property value and appraisal, you could qualify for an additional loan amount to finance closing and improvement costs

Since this program has specific eligibility requirements for the property’s location and income limits, you should check your eligibility at the USDA Rural Development website.

*NOTE: In order for the loan to be approved by the mortgage lender, the house will need to appraise for no less than the total contract purchase price (which includes the added dollar value for the VA funding fee).

Here for you, every step of the way.

We’ve got the experience and the professional network to get your loan funded. If it can be done, we’re the ones who can get it done. You’ll have direct access to a friendly, communicative, professional Loan Originator who will walk you through every step of the process. If a problem ever pops up, you’ll be the first phone call with a solution.

26041 Predazzer Ln Suite A, Daphne, AL 36526

24951 Perdido Beach Blvd
Orange Beach, AL 36561

309 Richard Jackson Blvd, Suite 200,
Panama City Beach, FL 32407

Vault Mortgage LLC | NMLS# 1785021
Approved Lender in Alabama #22567 and Florida

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Equal Housing Opportunity. Loan programs not available in all states, or to all consumers. All loans are subject to availability at the time of application and for terms that meet each individual consumer’s needs and qualification information. Loan applications are subject to credit and property approval. Vault Mortgage LLC encourages all consumers to consult with a tax advisor concerning the tax implications for the type of mortgage sought.